Jensen Huang Says Nvidia's $200B CPU Market Forecast Includes China
Speaking upon arrival in Taipei, Nvidia CEO Jensen Huang confirmed China is part of his $200 billion CPU market opportunity and reiterated hopes to ship H200 chips there — while calling on Super Micro to tighten export compliance.
- Jensen Huang confirmed Nvidia's $200B CPU forecast includes China
- H200 chips remain undelivered despite licenses, and he called on Super Micro to improve export-compliance controls amid smuggling investigations
Nvidia CEO Jensen Huang said upon arrival at Taipei's Songshan Airport on May 24 that his forecast for a $200 billion CPU market 'includes China,' signaling Nvidia's long-term confidence in the market despite ongoing U.S.-China tech tensions.
Vera CPU — A New $200 Billion Market
During Nvidia's earnings call on May 21, Huang said the company's new Vera central processors unlock access to a $200 billion CPU market. Agentic AI — systems that autonomously complete tasks — requires high-performance CPUs running in parallel with GPUs beyond just training large models. The Vera CPU signals Nvidia's expansion from GPU dominance into the broader compute stack.
Mass production of the Vera Rubin platform, which combines the Vera CPU and Rubin GPU architectures, is ramping up now. Huang said Taiwan's supply chain faces 'a very busy second half' and confirmed a planned meeting with TSMC while in Taipei. AMD separately announced more than $10 billion of investment in Taiwan's AI sector the same day, underscoring the intensifying chip-supply competition.
H200 for China — Licensed, But Zero Deliveries
Huang said: 'H200 has been licensed to ship to China. It would be terrific to be able to serve that market.' In practice, the U.S. government has cleared roughly 10 Chinese firms to buy H200 chips, yet not a single unit has been delivered. China's policy of nurturing domestic chip suppliers remains the primary obstacle.
The Trump-Xi summit in Beijing earlier this month produced no immediate breakthrough for Nvidia. With older A100 and H100 chips already banned, Nvidia is looking to H200 as its path back into China — but regulatory and political headwinds on both sides keep supply frozen.
Super Micro Smuggling — Huang: "They Need to Improve Compliance"
Taiwanese prosecutors are investigating three individuals suspected of illegally exporting SMCI servers containing Nvidia chips subject to U.S. export controls. Huang said Nvidia is 'very rigorous' in explaining laws and regulations to partners, but added: 'Ultimately, Super Micro has to run their own company. I hope they will enhance and improve their regulation compliance.' In March, the U.S. Justice Department charged three people linked to Super Micro — including a co-founder — with helping smuggle at least $2.5 billion of U.S. AI technology to China.
Related Stocks & ETFs
NVDA — Nvidia / AMD — AMD / SMCI — Super Micro Computer / TSM — Taiwan Semiconductor (TSMC)
Frequently Asked Questions
Why is Nvidia entering the CPU market?
Agentic AI can't run on GPUs alone. Autonomous AI agents require high-performance CPUs running in parallel. Nvidia's Vera CPU is part of a strategy to vertically integrate the entire AI compute stack. Even a 10% share of a $200B CPU market would represent a significant new revenue stream.
Why has not a single H200 been delivered to China despite licenses?
About 10 Chinese firms have received US government approval to buy H200, but Beijing's policy of nurturing domestic AI chip makers is blocking adoption. Chinese companies face pressure to prioritize Huawei and other domestic chips. The Trump-Xi summit produced no immediate breakthrough.
How does the Super Micro export violation affect Nvidia?
In the near term, there are partner credibility concerns and the possibility of heightened regulatory scrutiny. Huang distanced Nvidia by saying Super Micro must improve its own compliance. Nvidia maintains its own export procedures are rigorous, but there could be greater pressure to monitor distribution channels end-to-end.
What does TSMC collaboration mean for Vera Rubin platform supply?
The Vera Rubin platform requires cutting-edge process nodes, and TSMC is effectively the only manufacturer capable at this level. Huang publicly flagging the TSMC meeting signals urgency in securing supply. His comment about a 'very busy second half' for Taiwan's supply chain suggests demand is straining capacity.
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